Life Insurance is Boring. Let’s Get To The Root Of It! Here are the key takeaways…

Life insurance for a 55-year-old can be very affordable if you know how to shop. A 55-year-old male can get $100,000 in 20-year term life insurance coverage for as little as $44 per month. A female can get the same policy starting at $31 per month. This depends on your health. To get the best rates, figure out what type of policy you need, then compare multiple companies.

Why a 55-Year-Old Needs Life Insurance

Do you really need life insurance at age 55?

Many people still do, even once the kids are grown. While many people take out term policies to provide for young children when they’re new parents in their 20s and 30s, people in their 50s need life insurance too, as they still have financial dependents.

The question you should ask is… if I passed away tomorrow, would anyone be in financial trouble?

If the answer to that is yes, getting a life insurance policy is a loving thing to do for them.

Common reasons for purchasing life insurance for 55-year-olds are to protect a spouse. Maybe the mortgage isn’t paid off or without your income retirement at 65 becomes a pipedream. Other people want to continue supporting their adult (or nearly adult) children.

Life insurance is just another way to care for your family. Yet it can also do other things. There are types of life insurance that are designed primarily to pay for funerals. Different types ensure there is liquid cash available to pay for any estate-related expenses.

It all boils down to your financial situation right now and what you expect it to be as you age.

Best Types of Life Insurance for a 55-Year-Old

There are two common types of life insurance, term and permanent. These form the basis of what most people think of when they hear the phrase life insurance. But there is a third option that is rapidly gaining attention, burial insurance.

The type of life insurance that is right for you will depend on your reasons for getting life insurance at age 55.

Term Life Insurance

Term life is one of your cheapest options for life insurance. It lasts a set number of years, and once it expires, your contract is over. Once the term is up, many companies offer conversions to whole life or renewals for another term. The most common terms are 10, 20, or 30 years. Although you can get them

Term life insurance is best for reasons that won’t last forever. Making sure your spouse can retire is a big one at 55. Continuing to provide for young adult children financially is another. Paying off your mortgage that your spouse couldn’t afford on their own is a third.

If it is end-of-life expenses that you are looking to cover, you might consider a permanent or burial policy.

Permanent Life Insurance

Permanent life insurance covers you until you pass away. As long as you pay your premiums, the policy is there for you. It can get even easier with a 10-pay, or 20-pay policy, where you pay each month for a set number of years. That way you don’t have to worry about funding it indefinitely.

There are several types of permanent life insurance. Whole life is the most straightforward. Universal life and its sub-categories give you more options for your cash value and payment schedules.

Permanent policies are best for families who are covering end-of-life expenses or estate obligations. As strange is it sounds from a philosophical perspective, dying is expensive. Creditors come running for debts. There are often medical expenses, large or small. Even the burial or cremation can get up there in price.

You might get a permanent policy to fund a trust for a child or spouse to take care of them after you’re gone. If your married, second-to-die policies are a good option if you want to leave something for the kids.

Burial Insurance

Burial insurance is almost always permanent, although there are a few term burial policies out there.

Note: We strongly recommend taking the permanent ones, because they’re nearly the same price and you aren’t gambling on when you will pass away.

The average cost of a funeral and burial (which is the same as a funeral and cremation) is just under $8,000 in the United States today. With over half of Americans having less than $1,000 in savings, that can hit a family hard.

Sometimes saving up can be almost impossible. It seems that the second you start trying to save money, life happens and another surprise expense comes up. Burial insurance is a way to take care of your final expenses without passing on the financial burden to your family.

Term Life Insurance Rates for a 55-Year-Old

Like we mentioned above, term life insurance is simple. It’s a straightforward policy that covers you for a set number of years. No frills. No gimmicks.

The critical thing to keep in mind when looking at life insurance is that each company has a different set of underwriting guidelines. They look at your health, family medical history, your driving record, and a dozen or so other factors to determine your health class. This health class determines how much you pay.

There are four primary health classes for most companies:

Preferred plus – for people in exceptional health.

Preferred

Regular plus

Regular – covers people in average health for their age.

Make sure to shop around and see which company will give you the best health class.

Most companies only offer up to 30-year terms, and at age 55, you can typically still get a 30-year term life insurance policy. That will last you a decade beyond the average life expectancy in the US.

Rates for Males at Age 55

The sample rates below will show preferred and regular rates for non-smokers, then you’ll see rates for smokers & diabetics.

The monthly rates below are for a 55-year-old male in good health – preferred health class.

Term

$50,000

$100,000

$250,000

$500,000

$1,000,000

10-Year

$22

$24

$51

$92

$163

20-Year

$31

$44

$87

$161

$307

30-Year

$63

$81

$165

$323

$638

These sample rates are for a 55-year-old man in average health – standard health class.

Term

$50,000

$100,000

$250,000

$500,000

$1,000,000

10-Year

$30

$37

$81

$149

$277

20-Year

$62

$63

$138

$261

$487

30-Year

$63

$90

$212

$415

$800

Rates for 55-Year-Old Male Smokers

If you currently smoke or have quit within the last year, your rates will be roughly 50% higher. These sample rates are for a 55-year-old man who smokes.

Term

$50,000

$100,000

$250,000

$500,000

$1,000,000

10-Year

$48

$75

$162

$309

$536

20-Year

$86

$122

$358

$514

$1,001

30-Year

N/A

N/A

N/A

N/A

N/A

Rates for 55-Year-Old Males with Diabetes

If you have diabetes and control it well, your rates will be similar to these.

Term

$50,000

$100,000

$250,000

$500,000

$1,000,000

10-Year

$38

$62

$110

$148

$277

20-Year

$73

$94

$185

$263

$508

30-Year

$106

$141

$406

$614

$1,198

Rates for Females at Age 55

The monthly rates below are for a 55-year-old female in good health – preferred health class.

Term

$50,000

$100,000

$250,000

$500,000

$1,000,000

10-Year

$17

$19

$38

$69

$125

20-Year

$23

$31

$62

$113

$218

30-Year

$52

$65

$116

$225

$413

These sample rates are for a 55-year-old woman with average health – standard health class.

Term

$50,000

$100,000

$250,000

$500,000

$1,000,000

10-Year

$22

$28

$56

$22

$192

20-Year

$34

$45

$96

$179

$340

30-Year

$52

$86

$169

$330

$650

Rates for 55-Year-Old Female Smokers

Women who smoke will have higher rates than women who do not smoke.

Term

$50,000

$100,000

$250,000

$500,000

$1,000,000

10-Year

$34

$58

$147

$212

$398

20-Year

$52

$90

$216

$363

$698

30-Year

N/A

N/A

N/A

N/A

N/A

Rates for 55-Year-Old Females Diabetics

Women with diabetes can still find affordable life insurance rates if they manage their diabetes well.

Term

$50,000

$100,000

$250,000

$500,000

$1,000,000

10-Year

$29

$47

$73

$105

$192

20-Year

$49

$70

$151

$180

$341

30-Year

$81

$119

$349

$515

$1,006

Whole Life Insurance Rates for a 55-Year-Old

Whole life insurance is the least complicated of all permanent life insurance policies. It’s just the death benefit and a cash value accumulation component.

The cash value accumulation builds up as you pay your premiums. It is basically how much you have paid over the course of your policy, plus interest. You can borrow the cash value from your life insurance policy with low-interest rates to use for whatever you want. It can be a loan without the hassle of dealing with the bank.

If the idea of paying premiums until you pass away doesn’t appeal to you, ask about 20-pay policies. You will pay a little more each month, but there is an endpoint.

Rates for Males & Females with Preferred Health

The rates below are for non-smoking, 55-year-old men and women. We are showing rates for preferred (good health) and regular (average) health classes.

$50,000

$100,000

$250,000

$500,000

$1,000,000

Men

$146

$278

$685

$1,350

$2,693

Women

$133

$248

$611

$1,203

$2,399

Rates for Males & Females with Standard Health

The set below reflects what you might pay for a regular health class.

$50,000

$100,000

$250,000

$500,000

$1,000,000

Men

$146

$282

$696

$1,370

$2,734

Women

$133

$256

$630

$1,241

$2,475

The rates for the $50,000 benefit are the same for both health classes. It often happens at the lower end of the benefit range with many companies.

Rates for Men & Women with Diabetes

$50,000

$100,000

$250,000

$500,000

$1,000,000

Men

$406

$814

$1,419

$2,189

$4,048

Women

$298

$605

$986

$1,507

$2,761

Rates for Male & Female Smokers

$50,000

$100,000

$250,000

$500,000

$1,000,000

Men

$542

$1,023

$2,516

$4,213

$8,261

Women

$351

$770

$1,592

$3,223

$6,061

The Best Life Insurance Companies for a 55-Year-Old

We picked these five companies as our general favorites for 55-year-olds. They all have their advantages. Remember that to get the best rates you have the find the company that has the best underwriting guidelines for you. The best few for your unique situation may differ from the list here.

We chose these five based on their financial stability, quality customer care, and affordability.

Phoenix Life Insurance

Phoenix is one of the most affordable companies you can find in the lower benefit ranges. For both men and women, Phoenix offers incredibly competitive rates under $250,000 benefit.

AM Best currently rates them at a B.

Transamerica

Transamerica has been around for decades, and we expect them to be around for decades more with an A+ rating from AM Best for superior financial standing.

They particularly excel in competitive rates on longer-term lengths for 55-year-olds.

Prudential Life

Prudential is an excellent life insurance company. They are particularly useful in high benefit term policies.

Excellent customer service combined with an A+ from AM Best makes them a solid choice.

SBLI

Like Prudential, both companies are neck and neck when it comes to offering affordable rates for high benefits.

SBLI comes in with an A- from AM Best.

Foresters

We adore the whole life policies from Foresters. They’re affordable. What’s better is that you can get a 20-pay option on their whole life policies. Only pay for 20 years, then you’re done.

AM Best gives them a solid A.

How to Save on Life Insurance at Age 55

Like any purchase that isn’t on impulse, the best way to save money on life insurance is to shop around. Get quotes from several companies and compare them.

But it’s not enough to only do that. You need to know how that company will underwrite you. Therein lies the tricky part.

Most life insurance companies use similar guidelines. After all, it’s not that the average life expectancy changes depending on which company you choose for your life insurance. To find this variable, you need the help of an independent life insurance agent.

Independent life insurance agents work for their clients. They aren’t employed by any specific insurance company. That gives them the ability to work with dozens of life insurance companies to choose the few that will work best for you.

When you call or email your independent agent for the first time, tell them about any medical history you have. It may feel weird emailing a complete stranger about something typically considered private, but it’s their job. Armed with this information, they can narrow down the best options for you.

The Easiest & Fastest Way to Apply

If you need life insurance, it will only get more expensive the longer you put it off. The first step is to figure out why you are looking into life insurance. That will tell you what type you need. If you’re unclear, your agent can help. You might even want to layer policies.

For example, you might combine a term life insurance policy with a burial insurance policy. The term will provide for your spouse’s ability to retire on time if something happens to you. The burial policy will make sure there is cash available to pay for your funeral.

Speaking with an expert is a surefire way to get the professional insight you need to make the right decision for you and your family.

Give us a call today to speak with an independent life insurance agent who represents dozens of the best life insurance companies on the market. We’ve helped 1000’s and can help you find the best life insurance coverage for you and your family at no charge.

If you’re looking to compare rates, just use our easy life insurance quote tool to find the best life insurance rates for a 55-year-old today!

Compare the Best Life Insurance Rates for 55 Year Olds

About Jeff Root

Jeff Root is the owner of Rootfin. He is an independent life insurance agent, licensed in all 50 states & the District of Columbia. Jeff is an accomplished author, speaker at industry-leading insurance conferences around the US, and has helped 1,000's of people purchase insurance online and over the phone.

Reader Interactions

Your email address will not be published. Required fields are marked *

Comment

Name *

Email *

Website

Primary Sidebar

Instant Life Insurance Quotes

Compare 20+ life insurance companies

Instantly view monthly payments

Your information is secure and never shared

“A+" Rated Carriers QuotedOn The Next Screen

By pressing "Display Quotes" button, you agree to our privacy policy & consent for an affiliated agent of Rootfin to contact you at the phone number entered on this webpage using an automatic dialing system.

Company

Legal

This site provides insurance information and quotes. The rates displayed are based on information provided by the
insurance companies. It should be used for informational purposes only and is subject to change.
No portion of Rootfin.com may be copied, published or distributed in any manner for any purpose without prior written
authorization of the owner. We are insurance licensed in all 50
states & the District of Columbia.

Instant Life Insurance Quotes

Compare 20+ life insurance companies

Instantly view monthly payments

Your information is secure and never shared

“A+” Rated Carriers QuotedOn The Next Screen

By pressing “Display Quotes” button, you agree to our privacy policy & consent for an affiliated agent of Rootfin to contact you at the phone number entered on this webpage using an automatic dialing system.